As the earnings season for the Q4FY25 gets underway, top IT services firms — Tata Consultancy Services (TCS), Wipro, and Infosys — have reported their Q4 results. market experts have flagged concerns over the cautious outlook for FY26, which company managements have attributed to ongoing global uncertainties. The mixed performance in Q4FY25 reflects persistent macroeconomic challenges, including a global slowdown, uncertain demand, and fears surrounding U.S. trade tariffs.
TCS declared its Q4FY25 earnings on April 10, reporting a net profit of ₹12,224 crore, down 1.69% from ₹12,434 crore in Q4FY24. Revenue from operations increased by 5.29% YoY to ₹64,479 crore. The fall in revenue was driven by weaker discretionary spending and client-initiated pauses. However, a weaker INR helped limit the drop in INR terms, resulting in a 0.8% QoQ increase.
Infosys reported its Q4FY25 results on April 17, posting a net profit of ₹7,033 crore, a decline of 11.75% from ₹7,969 crore in the year-ago period. Revenue from operations stood at ₹40,925 crore, marking a 7.92% increase from ₹37,923 crore in Q4FY24.
Wipro’s Q4 results, announced on April 16, showed a net profit of ₹3,569.60 crore, a rise of 25.93% from ₹2,834.60 crore in the corresponding quarter last year. Revenue from operations rose marginally by 1.33% YoY to ₹22,504.20 crore. ICICI Securities attributed the soft revenue growth to project ramp-downs, volume reductions, and pauses in major transformation initiatives.
Metrics | TCS | Infosys | Wipro |
Q4 Net Profit | ₹12,224 Cr (↓1.69% YoY) | ₹7,033 Cr (↓11.75% YoY) | ₹3,570 Cr (↑25.93% YoY) |
Q4 Revenue | ₹64,479 Cr (↑5.29% YoY) | ₹40,925 Cr (↑7.92% YoY) | ₹22,504 Cr (↑1.33% YoY) |
FY26 Revenue Guidance | Not yet provided | 0–3% (revised from 4.5–5%) | (-)3.5% to (-)1.5% |
Large Deal Wins (Q4) | $12.2 Bn (Record high) | $2.6 Bn | $1.76 Bn |
FY25 Total Deal Wins | $39.4 Bn | $11.6 Bn | $3.95 Bn |
Attrition (LTM) | 13.3% | 14.1% | 15.0% |
Headcount (Q4FY25) | 6,07,979 | ~324,000 | 233,346 |
Dividend | Final: ₹30/share (Total FY25: ₹126) | Final: ₹22/share (↑13.2% YoY) | Interim (Jan) considered final |
K Krithivasan, Chief Executive Officer and Managing Director, said “We are pleased to cross the $30 Billion in annual revenues and achieve a strong order book for the second consecutive quarter. Our expertise in AI and Digital Innovation, coupled with the unmatched knowledge of customer context and global scale makes us the pillar of support for our customers in this environment of macroeconomic uncertainty. We remain committed to staying close to our customers and helping them achieve their core priorities.”
“FY25 operating margins expanded by 0.5% which reflects our relentless focus on identifying opportunities for efficiency and executing Project Maximus with discipline, after navigating through multiple headwinds in a challenging macro environment. We delivered the highest ever free cash flows in the history of the company in FY25,” said Jayesh Sanghrajka, CFO. The Board has proposed a final dividend of `22, which along with the interim dividend, is an increase of 13.2% over last year.” he added
Srini Pallia, CEO and Managing Director, said “We closed FY25 with two mega deal wins, an increase in large deal bookings, and growth in our top accounts. Client satisfaction scores improved, reflecting strong execution and engagement. We also continued to invest in our global talent and in strengthening our consulting and AI capabilities. As clients remain cautious in the face of macroeconomic uncertainty, we’re focused on partnering closely with them while staying committed to consistent and profitable growth.”
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Published on: Apr 21, 2025, 2:05 PM IST
Sachin Gupta
Sachin Gupta is a Content Writer with 6+ years of experience in the stock market, including global markets like the US, Canada, and Australia. At Angel One, Sachin specialises in creating financial content that simplifies complex market trends. Sachin holds a Master's in Commerce, specialising in Economics.
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